Today, a lot of people wonder what XRP is and how to trade Ripple. Ripple is one of the largest cryptocurrencies on the market in terms of market cap. First of all, Ripple is an open-source protocol for a payment network. The underlying cryptocurrency is an XRP token, which is often also referred to as ‘ripples’. All of these coins have already been issued, which means that no new ripples are generated by a mining process. What is special about Ripple — the cryptocurrency is both a payment method and a trading platform.
In the group of crypto coins such as Bitcoin, Ethereum, Monero, and Litecoin, Ripple is considered to be an ‘outsider’. While most digital currencies strive for a transparent monetary system free of state control, Ripple works with banks and enables them to make cheap transfers within seconds — even abroad. So, how to trade Ripple coin? Today, we’ll try to find out!
Where Can I Trade Ripple: Best Trading Platforms
You may wonder ‘Where can I trade Ripple?’. You can buy XRP on various cryptocurrency exchanges and brokerage platforms. While the process of buying cryptocurrency has become very easy, it’s recommended that you carefully consider the platform you plan to use for security reasons. If you’re about to trade Ripple, we can recommend three trading platforms.
eToro is the top social trading platform that allows users to invest in everything — from crypto to stocks. If you are a newbie, take advantage of eToro’s Copy Trading and CopyPortfolios to learn trading from experienced traders. The brokerage platform has offices in the UK, USA, and Australia.
Plus500 is an online trading platform regulated by the Financial Conduct Authority (UK) and several other countries around the world. If you’re still wondering ‘Where can I trade Ripple?’, then feel free to use Plus500 to trade cryptocurrencies, including Ripple. This is a platform that offers fast execution and doesn’t charge any commissions.
Cyprus-based FXTB is owned by Forex TB Limited and is headquartered in Cyprus. FXTB offers trading services to users in the European Economic Area and Switzerland. Use a demo account to learn about crypto trading and benefit from a range of trading assets including Ripple (XRP).
Best Place to Trade Ripple: Where Can I Buy XRP?
What is the best place to trade Ripple? If you want to buy Ripple, it’s best to open an account on one of the various payment service providers. After paying in a certain sum of money (for example by transfer or credit card), Ripple coins can now be purchased. The corresponding account balance is then saved in the network and an owner can trade a digital currency at any time.
Still, what is the best place to trade Ripple and buy XRP? If you’re interested in buying the crypto safely, you should definitely think about doing this at Switchere. On our platform, you have an opportunity to buy and sell XRP in the fastest and most convenient way. Moreover, we offer some surprising bonuses! Users of our platform enjoy a 0% service fee for the first order.
How to Trade Ripple Cryptocurrency: Key Trading Strategies to Know
How to trade Ripple cryptocurrency? Well, first things first. In crypto trading, it’s important to proceed with caution instead of just acting rashly. Traders usually use one or more trading strategies. The most popular are buy & hold, swing trading, and day trading.
Strategy #1 Buy & Hold
As the name implies, this is a conservative and a rather long-term strategy in which a buy position is opened and usually held for a certain amount of time. A medium to a long-term price increase for a cryptocurrency is expected. This strategy is very similar to classic investing and is particularly suitable for newbies. Most important for the success of this trading strategy is to buy crypto at a very low price.
Strategy #2 Swing Trading
How to trade Ripple cryptocurrency using this trading strategy? With this short-term oriented strategy, investors rely on strong price movements in one direction, so-called ‘swings’, which can go up or down. A buy or sell position is opened depending on whether a swing is expected or not. A tendency for certain price fluctuations determined by means of technical analysis is usually used as the basis.
Swings can take place within a few days or weeks, in extreme cases even within a few hours. If the position is only held for a few days, trading with leverage may be appropriate. Swing trading carries a medium to high risk and is recommended only for advanced traders.
Strategy #3 Day Trading
The most intensive trading strategy is a day trading carried out within one trading day. Here, long and short positions are usually opened only a few hours — or even minutes.
Day trading is actually a full-time job, in which you mostly rely on news events or announced updates on individual crypto platforms. With this high-risk strategy, high leverage can be useful in order to achieve high profits even with minor price fluctuations. Day trading is a risky strategy that is suitable only for experienced traders.
How to trade Ripple? What other trading strategies do you know? Feel free to share your knowledge in the comments. Have a great weekend!